China’s real estate development investment fell -13.9% YoY in Jan–Sep 2025, with residential investment down -12.9% YoY, reflecting continued contraction across construction, sales, and financing activity.

• The total housing construction area declined -9.4% YoY to 6.49B sq m, while new housing starts dropped -18.9% YoY and completions fell -15.3% YoY, indicating persistent weakness in both supply and project delivery.

• Residential new starts fell -18.3% YoY and completions dropped -17.1% YoY, underscoring the sustained slowdown in homebuilding activity.

• Commercial housing sales area decreased -5.5% YoY, with sales value down -7.9% YoY; residential sales fell -5.6% by area and -7.6% by value.

• The inventory of unsold commercial housing edged down 2.41M sq m MoM in September to 759.28M sq m, with residential inventory down 2.92M sq m, showing only marginal improvement in absorption.

• Developer funding fell -8.4% YoY to ¥7.23T, driven by declines in self-raised funds (-9.3%), deposits and advance receipts (-10.3%), and personal mortgage loans (-10.6%); domestic loans eased only slightly (-1.4%).

• The national housing prosperity index stood at 92.78 in September, remaining below the neutral threshold and signaling continued weakness in sector sentiment.